House File 559 - Introduced HOUSE FILE 559 BY COMMITTEE ON LABOR (SUCCESSOR TO HSB 202) A BILL FOR An Act relating to financial assistance provided by the 1 economic development authority to certain apprenticeship 2 sponsors and lead apprenticeship sponsors, and including 3 applicability provisions. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2356HV (1) 89 ko/jh

H.F. 559 Section 1. Section 15B.2, Code 2021, is amended by adding 1 the following new subsection: 2 NEW SUBSECTION . 06. “Contact hours” means the number 3 of hours of in-person instruction received by an apprentice 4 participating in an apprenticeship program. 5 Sec. 2. Section 15B.4, subsection 1, paragraph a, Code 2021, 6 is amended to read as follows: 7 a. An apprenticeship sponsor or lead apprenticeship sponsor 8 conducting that conducts an apprenticeship programs program 9 that is registered with the United States department of labor, 10 office of apprenticeship, through Iowa, for apprentices who 11 will be employed at Iowa worksites located in this state 12 may apply to the authority for a training grant financial 13 assistance under this section if the apprenticeship program 14 includes a minimum of one hundred contact hours per apprentice 15 for each training year of the apprenticeship program . 16 Sec. 3. Section 15B.4, subsection 2, unnumbered paragraph 17 1, Code 2021, is amended to read as follows: 18 The authority shall provide financial assistance in the form 19 of training grants to eligible apprenticeship sponsors or lead 20 apprenticeship sponsors in the following manner: 21 Sec. 4. Section 15B.4, subsection 2, paragraphs b, c, and d, 22 Code 2021, are amended to read as follows: 23 b. By adding together all of the following: 24 (1) The determining the total number of apprentices trained 25 during the most recent training year, as calculated on the 26 last day of the training year, in all apprenticeship programs 27 conducted by all applying apprenticeship sponsors or lead 28 apprenticeship sponsors during the most recent training year 29 as calculated on the last day of the training year eligible to 30 apply for financial assistance under subsection 1 . 31 (2) The total number of contact hours that apprenticeship 32 instructors for all applying apprenticeship sponsors or lead 33 apprenticeship sponsors spent in contact with apprentices 34 during the most recent training year. For purposes of 35 -1- LSB 2356HV (1) 89 ko/jh 1/ 3

H.F. 559 this subparagraph, “contact hours” includes the time spent 1 instructing apprentices in person or, in the case of a lead 2 apprenticeship sponsor with programs totaling one hundred or 3 more total instructional hours, “contact hours” includes the 4 time spent in online training if the total amount of online 5 instruction does not account for more than thirty percent of 6 the total instructional hours. 7 c. By adding together all of the following: 8 (1) The determining the total number of apprentices 9 trained during the most recent training year, as calculated 10 on the last day of the training year, in each apprenticeship 11 program conducted by a single applying each apprenticeship 12 sponsor or lead apprenticeship sponsor during the most recent 13 training year as calculated on the last day of the training 14 year eligible to apply under subsection 1, and that applied for 15 financial assistance under subsection 1 . 16 (2) The total number of contact hours that apprenticeship 17 instructors for a single applying apprenticeship sponsor or 18 lead apprenticeship sponsor spent in contact with apprentices 19 during the most recent training year. For purposes of 20 this subparagraph, “contact hours” includes the time spent 21 instructing apprentices in person or, in the case of a lead 22 apprenticeship sponsor with programs totaling one hundred or 23 more total instructional hours, “contact hours” includes the 24 time spent in online training if the total amount of online 25 instruction does not account for more than thirty percent of 26 the total instructional hours. 27 d. By determining the proportion, stated as a percentage, 28 that a single each applying apprenticeship sponsor’s or lead 29 apprenticeship sponsor’s total calculated pursuant to paragraph 30 “c” bears to all applying apprenticeship sponsors’ or lead 31 apprenticeship sponsors’ total calculated pursuant to paragraph 32 “b” . 33 Sec. 5. APPLICABILITY. This Act applies to financial 34 assistance provided by the economic development authority to 35 -2- LSB 2356HV (1) 89 ko/jh 2/ 3

H.F. 559 apprenticeship sponsors and lead apprenticeship sponsors that 1 apply for financial assistance on or after July 1, 2021. 2 EXPLANATION 3 The inclusion of this explanation does not constitute agreement with 4 the explanation’s substance by the members of the general assembly. 5 This bill relates to financial assistance (assistance) 6 provided by the economic development authority (authority) 7 to certain apprenticeship sponsors (sponsor) and lead 8 apprenticeship sponsors (lead sponsor). 9 The bill provides that to be eligible for assistance, 10 a sponsor or lead sponsor must include a minimum of 100 11 contact hours per apprentice for each training year of an 12 apprenticeship program conducted by the sponsor or lead 13 sponsor. Under current law, there is not a minimum contact 14 hour requirement to be eligible for assistance. The bill 15 defines “contact hours” as the number of hours of in-person 16 instruction received by an apprentice participating in an 17 apprenticeship program. Current law defines “contact hours” 18 as the time spent instructing apprentices in person or, in the 19 case of a lead sponsor with an apprenticeship program totaling 20 100 or more total instructional hours, “contact hours” includes 21 online training if the total amount of online instruction is 22 not more than 30 percent of the total instructional hours. 23 Under current law, the authority provides financial 24 assistance in the form of grants to sponsors or lead sponsors 25 pursuant to a calculation as specified in Code section 15B.4, 26 subsection 2. Under the bill, the calculation is modified 27 to account for the minimum 100 contact hours eligibility 28 requirement and the revised definition of “contact hours”. 29 The bill applies to financial assistance provided by the 30 authority to eligible sponsors and lead sponsors that apply for 31 financial assistance on or after July 1, 2021. 32 -3- LSB 2356HV (1) 89 ko/jh 3/ 3